Need to keep full Backup on hard drive?

If I'm using Time Machine, do I need to keep a Backup.sparse image (98.07 GB) from 2 years ago on my hard drive?  Do I need to have any backup at all on my hard drive?  I have a feeling I've been needlessly suffering (from slow speed) for a long time.  Thanks.

matthild wrote:
...  I just plugged in Time Machine when I got it ...
I'm guessing.. but are you referring to a Time Capsule unit...?
http://www.apple.com/timecapsule/
To use Time Machine with a Time Capsule... See Here...
Using Time Machine with a Time Capsule
matthild wrote:
I think I should have asked, "Do I need to keep a Sparse Disk Image ..."
This image should not be on the Internal Hard Drive of your computer.
Digest this information and post back if you need to.
Cheers.

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